Sanctions imposed by the U.S. over Turkey's 2019 purchase of Russia’s S-400 missile system are significantly undermining Turkey’s defense plans, a new Lockheed Martin report reveals.
NORDIC MONITOR -- These measures, enacted under CAATSA, have disrupted joint projects, especially the Turkish Utility Helicopter Program (TUHP), which co-produces T70 helicopters in partnership with Lockheed’s Sikorsky unit.
Though TUHP wasn’t directly sanctioned, broader restrictions on Turkish Aerospace Industries (TAI) have caused delays and forced Lockheed Martin to suspend operations under a force majeure declaration as of October 2024. Only 22 helicopters have been produced so far, with plans for 218 more now at risk.
Originally, the project was expected to generate $1.5 billion in export revenue. However, sanctions have blocked necessary export licenses, threatening current and future contracts.
These tensions began after Turkey ignored U.S. warnings and bought the $2.5 billion S-400 system from Russia in 2017. After receiving the system in July 2019, the U.S. sanctioned Turkey’s defense procurement agency and expelled the country from the F-35 program in 2021.
Despite sanctions, in 2024 the U.S. approved a $23 billion F-16 deal with Turkey, involving 40 new jets and upgrades to 79 others. Turkey reduced the deal’s cost to $7 billion by handling some upgrades domestically. Deliveries begin in 2026.
Meanwhile, Turkey is developing its own Kaan fighter jet. Though it flew in early 2024, it still relies on U.S.-made engines. Turkey is also exploring the Eurofighter Typhoon as an alternative, though Germany has expressed hesitation.
As Ankara reassesses its defense strategy, U.S. sanctions remain a serious obstacle, straining alliances and complicating future procurement.